Interim Results
Walker,Crips,Weddle,Beck PLC
9 November 2000
Strong performance
Walker, Crips, Weddle, Beck plc ('WCWB'), the fully listed
stock and share broker, announces Interim results for the six
months ended 30 September 2000.
Key points:
* Turnover increased by 23% to £6.3 million (6 months to 3
October 1999: £5.1m)
* Profit before tax up by 22% to £646,000 (6 months to 3
October 1999: £528,000)
* Earnings Per Share increased from 4.1p to 5.0p
* Interim dividend increased to 2.25 pence per share (6 months
to 3 October 1999: 2.0 pence)
* LSE shareholding contributes to increase in shareholders'
funds to £9.4 million (£6.2 million)
Commenting on these results, G.N. Kennedy CVO, Chairman, said:
'In line with our strategy of reducing the company's
dependence upon dealing commissions, I am pleased to announce
an increase in fee income from Discretionary Fund Management,
PEP/ISA Administration and also net Interest Income.
'Despite the uncertain outlook for global markets, the Board
remains committed to delivering returns to shareholders and
continues to explore various opportunities through which our
overall business can be further enhanced.'
For further information please contact:
Michael Sunderland, Chief Executive Hamish McFall / Tony Rose
Rodney Fitzgerald, Finance Director Tavistock Communications
Walker, Crips, Weddle, Beck plc Telephone: 020 7600 2288
Telephone: 020 7253 7502
WALKER, CRIPS,WEDDLE, BECK PLC
Chairman's Statement
Since my last statement in June, world stockmarkets have
behaved in an extremely volatile fashion, with most major
indices experiencing wild and erratic movements.The strong
rise in the price of crude oil and recent developments in the
Middle East have increased most investors' anxieties. Against
this background of uncertainty, market activity has recently
slowed.
However, despite these difficult conditions, I am pleased to
report that higher volumes have led to a significantly
improved performance over the comparable period last year.
Results for the 6 months to September reflect turnover of
£6,301,000 (an increase of 23% from £5,141,000). Pre-tax
profit for the current half year was £646,000 against
£528,000. Despite a higher tax charge earnings per share have
improved by 22% to 5p. Reflecting the Board's confidence in
the company's growth potential, the interim dividend has been
increased to 2.25p per share and will be paid on 15th December
2000 to those shareholders on the register at the close of
business on 24th November 2000.
In line with our strategy of reducing your company's
dependence upon dealing commissions, I am pleased to announce
an increase in fee income from Discretionary Fund Management,
PEP/ISA Administration and also net Interest Income.
Following the demutualisation of the London Stock Exchange
(LSE) in June 2000, your company has included its holding of
LSE shares in the Balance Sheet at its fair value of
£2,910,000.Accordingly, our Shareholders' Funds show an
increase of 52% to £9,406,000 since the last year end.
Despite the uncertain outlook for global markets, your Board
remains committed to delivering returns to shareholders and
continues to explore various opportunities through which our
overall business can be further enhanced.
I look forward to reporting a creditable result at the year
end.
G.N. Kennedy CVO
Chairman
Interim Unaudited Profit and Loss Account
For the period ended 30 September 2000
Continuing Continuing Continuing
Operations Operations Operations
26 weeks 26 weeks 26 weeks
ended ended ended
30 September 3 October 31 March
2000 1999 2000
£'000 £'000 £'000
------ ------ ------
Turnover 6,301 5,141 13,150
Commission payable (1,626) (1,408) (3,758)
------ ------ ------
Gross profit 4,675 3,733 9,392
Administrative expenses (3,974) (3,178) (7,281)
Exceptional items - (24) -
------ ------ ------
Operating profit 701 531 2,111
Interest payable and
similar charges (55) (3) (33)
------ ------ ------
Profit on ordinary activities
before taxation 646 528 2,078
Tax on profit on ordinary
activities (194) (164) (592)
------ ------ ------
Profit on ordinary activities
after taxation 452 364 1,486
Dividends paid and proposed (207) (181) (545)
------ ------ ------
Retained profit for the
Period 245 183 941
====== ====== ======
Earnings per share
- basic 5.0p 4.1p 16.5p
------ ------ ------
- diluted 4.8p 4.0p 15.7p
====== ====== ======
Weighted average number
of shares in issue
- basic 9,132,154 8,958,543 8,991,543
------ ------ ------
- diluted 9,885,654 9,449,543 9,634,793
====== ====== ======
Dividends paid and proposed 2.25p 2.0p 6.0p
====== ====== ======
WALKER, CRIPS, WEDDLE, BECK PLC
Balance Sheet
As at 30 September 2000
As at As at
30 31
September March
2000 2000
£'000 £'000
------ ------
Fixed assets
Tangible 1,120 1,097
Investments 2,985 75
------ ------
4,105 1,172
====== ======
Current assets
Debtors 63,902 129,720
Cash at bank and in hand 6,742 9,002
------ ------
70,644 138,722
Creditors: amounts falling due
within a year (65,343) (133,690)
------ ------
Net current assets 5,301 5,032
------ ------
Net assets 9,406 6,204
====== ======
Capital and reserves
Called-up share capital 1,834 1,819
Share premium account 1,181 1,149
Revaluation reserve 2,910 -
Profit and loss account 3,399 3,154
Other reserves 82 82
------ ------
Shareholders' funds 9,406 6,204
====== ======
WALKER, CRIPS,WEDDLE, BECK PLC
Notes to the Interim Financial Statements
(1) This interim statement has been prepared on the basis of
the accounting policies set out in the most recent set of
annual financial statements, except for the fixed asset
investments in the London Stock Exchange plc, which has been
revalued at fair value as described in Note 3 below. In
preparing the interim statement the Directors have implemented
any new accounting standards. These do not have a material
impact on the financial statements.
(2) 1999 and 2000 half year figures are unaudited. The
accounts for the period 5th April 1999 to 31 March 2000 are
abridged and non-statutory. Full accounts for that period, on
which the auditors of the Company made an unqualified report,
have been delivered to the Registrar of Companies. A copy of
these statements is available at the Company's registered
office at Sophia House, 76/80 City Road, London EC1Y 2EQ, and
a copy has been posted to all shareholders.
(3) Reconciliation of Shareholders' funds
Balance at 31 March 2000 6,204
Profit for the period 452
Dividends paid and proposed (207)
Exercise of options 47
Revaluation 2,910
------
Balance at 30 September 2000 9,406
======
The Company owns 100,000 ordinary shares in the London Stock
Exchange plc which have been included on the Balance Sheet at
their fair value of £2,910,000 (1999: Nil) for the first time
since demutualisation in June 2000.